Bermuda Press Holdings Release Interim Six-Month Report

In his report to Shareholders, Company President Roger Davidson states, "The Bermuda Press (Holdings) Limited recorded net income of $737,935 in the six months to 31st March 2003, which compares to net income of $633,607 for the same period last year. This improvement in net income remains well behind the $940,495 net income for 2001.

The result this year was accomplished against a background of continued global and local economic uncertainty. Revenue during the period rose by one percent, reflecting difficult and highly competitive trading conditions for local companies and for the Island since 2001.

Since then the world has experienced the 11th September terrorist attacks, the collapse of the Internet stock bubble and a global economic downturn, the war in Iraq and the SARS outbreak. In those circumstances, any company that relies on the retail and tourism trade for a significant part of its revenues would be well satisfied with any form of improvement.

Your Board of Directors and the staff of the companies of The Bermuda Press (Holdings) Limited have made efforts to control costs and to introduce operating efficiencies to offset the slowdown in revenue growth. Efforts have also been made to diversify the Company's operations, most particularly through the construction and letting of office space in Crown House.

Competition in the printing marketplace has intensified with all providers of local printing services struggling to maximize their market share. Overseas competition remains fierce and local printers are often placed at a competitive disadvantage due to high local employment costs.

Your board in hopeful that the second half of the year should produce results similar to those recorded in the first half, provided that there is no major escalation of

destabilizing events around the world and that external confidence in Bermuda continues.

We were saddened by the recent premature passing of Dr. E. S. D. Ratteray who served your company as a Director for more than fifteen years and gave sage advice on a wide range of issues. The value of Dr. Ratteray's efforts to improve life for all in Bermuda is well known.

The current bid price of shares in your Company is $12.50, although some shares have recently traded at $15.00. At 30th September 2002 the bid price was $9.50.

The total interests of all directors and officers of the Company in the shares of the Company at 31st March 2003 amounted to 167,120 shares. No rights to subscribe for shares in the Company have been granted to or exercised by any director or officer.

No company can be successful without assistance and I should like to thank our customers and shareholders for their confidence in the Company and its operations. None of the success your Company has achieved would have been possible without the skill and support of our employees, many of whom go the extra mile to ensure quality products and service that ultimately benefit all investors."

Report highlights show Revenue at $14,273,579 up from $14,076,003 for the same period last year, Net Income from Operations rose from $678,481 to $772,119. Minority Interest fell from $44,874 to $34,184. Net Income for the period was also up from $633,607 to $737,935 while earnings per share rose from 46 cents to 53 cents. A 32-cent per share dividend totaling $441,678 was paid for the period, the same as in the previous year.